Popular video-streaming platform Vimeo announced Thursday it closed on a $150 million equity investment from Thrive Capital and GIC.
This fresh funding comes on the heels of “record” growth for the NYC-based company, which has seen a surge in demand from businesses and corporate customers amid the pandemic. Vimeo is now reportedly valued at $2.75 billion.
“Before the pandemic, we were seeing demand for video increase across the board,” CEO Anjali Sud wrote in a recent blog post. “Then in March, our world changed over night. Video suddenly went from a ‘nice to have’ to an essential tool for every business. And we saw an acceleration in demand beyond our expectations.”
Sud says, in the last seven months, Vimeo has added more than 30 million new members and helped create more than 60 million new videos, powering millions of live events. The L.A. Dance Project, for example, has used the platform to stream with dance classes live; Columbia University held its 2020 commencement ceremony on the site; and Starbucks recently began using Vimeo Enterprise to distribute its training videos and COVID-19 updates.
Now, Vimeo says it plans to use this fresh funding to continue innovating the business and fuel its international expansion. The company is also growing its team across all departments.
“We are thrilled to partner with Vimeo and help accelerate its unique position as the single platform that can serve every individual’s, team’s and enterprise’s video needs,” said Miles Grimshaw of Thrive Capital in a statement. “From creation to marketing, corporate communication, live events and more.”
Vimeo also may be separating from its long-time corporate parent IAC, which announced its Q3 earnings on Thursday as well. In a letter to shareholders, IAC CEO Joey Levin said the company has “begun contemplating spinning Vimeo off to [its] shareholders.”
Levin continued in a statement: “Fourteen years ago, we acquired Vimeo as part of a small collection of assets for very little capital, and through the creativity, grit and sheer talent of a group of leaders and Vimeo, the business has become a real leader in a large and growing market, and in control of its own destiny.”
